The team of Science Applications International
Corporation and World Energy Solutions Enables the General
Services Administration Energy Center of Expertise to Win
Coveted DoE Federal Energy Management Award
DOE’s Award for “Innovative Technology for
Small Groups” Cites Highly Successful New York State
Electricity Procurement Projected to Save $24mm over 3 years
June 9, 2003 - The Department of Energy has awarded
the General Services Administration’s Energy Center
of Excellence (ECOE) a 2002 Federal Energy Management Award
for Innovative Technology for Small Groups. Richard Butterworth,
Mark Ewing, Linda Collins and Brian Magden were cited for
using the team of Science Applications International Corporation
(SAIC) and World Energy Solutions procurement services,
including extensive market knowledge and reverse auction
technology, to execute their electricity procurement in
New York State.
In its citation, the DoE lauds the GSA for its efforts
to “mirror how industry procures and sells energy
as well as to meet Federal acquisition regulations. The
Energy Center of Expertise awarded a delivery order to Science
Applications International Corporation to use the World
Energy Solutions electronic web-based reverse auction platform.
ECOE's first e-commerce web-based energy procurement provided
a quicker, more efficient way to solicit competitive bids
on energy supply. The reverse auction electricity procurement
avoided duplications of effort, saved time and resources
and allowed Federal agencies and organizations to focus
their attention on critical missions.”
The citation further states that “ECOE's $165 million
energy procurement spanned 6 utility service territories
and involved 20 competitive electricity suppliers, 10 qualified
agencies, and approximately 900 electric accounts. It resulted
in the fulfillment of approximately 624 gigawatt hours of
annual electricity requirements, which is enough power for
62,000 residential homes for one year.
“In certain service territories there was a 35 percent
difference between the highest and lowest bids representing
tens of millions of dollars in reduced pricing for GSA and
its customers. The deregulated electricity industry in New
York State combined with GSA's e-commerce reverse auction
will save approximately $24 million over a three year period.
This procurement proves that GSA can provide cost-effective
solutions for energy services as demonstrated by program
growth of approximately 700 percent in 12 months.”
Linda Collins, National Energy contracting officer, GSA
stated “We are extremely proud to have been selected
for this prestigious award. This award is a testimony to
great technology, meticulous process, and coordinated teamwork.
The SAIC/World Energy team partnered with the NY Region
to run an extremely professional and effective procurement.
Because New York was so successful, we have turned to the
SAIC/World Energy team to support our NY renewals and significant
electricity procurement in Texas. We are also in the midst
of procuring Natural Gas on a national basis with this team.
We are delighted with the service and results we receive
from these capable energy professionals.”
“We viewed the technology as a significant enabler
to our process,” said Brian K. Madgen, Regional Energy
Coordinator, GSA NY, “The prior year, with manual
RFP methods, we were only able to place 130 accounts. Using
the reverse auction platform, we were able run over 50 separate
auctions that enabled us to segment our load and offer it
to suppliers that specialize in different load factors,
terms and territories. As a result, we were able to place
900 accounts with six separate suppliers.”
Thad Wolfe, Director of Strategic Development at SAIC,
stated “This award is the culmination of a tremendous
amount of work on all sides. We are extremely proud to be
a part of this success. Working with World Energy is of
incredible value to us, as World Energy’s deep expertise
in deregulated energy markets and state-of-the-art technology
complements SAIC’s process consulting and government
contract expertise. This collaboration creates a true synergy.”
Richard Domaleski, President of World Energy Solutions,
said “We are pleased that the GSA is now being recognized
for their application of today’s latest technologies
and business processes. The ECOE has been on the forefront
of implementing technology to improve their processes and
save taxpayer dollars. We remain committed to this award-winning
team, and look forward to continuing to support them as
they procure energy in other geographies.”
About GSA
Created in 1949, GSA is an independent executive branch
Federal agency with an annual budget of $18 billion and
14,000 workers who are responsible for the acquisition of
government supplies, services and space. More information
about GSA can be found on the Internet at www.gsa.gov.
About SAIC
SAIC is the nation's largest employee-owned research and
engineering company, providing information technology, systems
integration and eSolutions to commercial and government
customers. SAIC engineers and scientists work to solve complex
technical problems in national security, homeland defense,
energy, the environment, telecommunications, health care
and transportation. With annual revenues of $6.1 billion,
SAIC and its subsidiaries, including Telcordia Technologies,
have more than 41,000 employees at offices in more than
150 cities worldwide. More information about SAIC can be
found on the Internet at www.saic.com.
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